Government issues loan guarantees to state companies

The government on Thursday gave its consent to the Rijeka Zagreb Motorways company to take a loan amounting to EUR 55 million providing a guarantee to a syndicate of banks - Hypo-Alpe-Adria-Bank, OTP banka and Zagrebacka banka - to issue the loan.

18.07.2013.
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The capital sum of the five-year loan is to be paid out in one installment while interest rate will be charged quarterly. The interest rate on the loan is the EIBOR 3M reference rate plus a 5.1% banks' margin.

According to Transport Minister Sinisa Hajdas Doncic the loan would be used to refinance unfavourable loans.

The government also gave its consent to the Croatian Water Management company to take out a HRK 300 million loan with Erste&Steiermaerkische Bank to finance capital investments. The loan matures in six years and the interest rate is the EIBOR 6M reference rate plus a 4.35% annual bank's margin.

(Hina)

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